Withdrawal from the Carbon Farming Initiative
A project proponent can choose to withdraw from the Carbon Farming Initiative at any time by applying to the Clean Energy Regulator to have the eligible offsets project declaration revoked.
If the offsets project is a sequestration offsets project that was declared eligible less than 100 years ago, all ACCUs issued for the offsets project (and not previously relinquished) must be handed back to the Clean Energy Regulator. If the project proponent has previously sold their ACCUs in the carbon market they must meet the relinquishment obligation by purchasing the same number and kind of ACCUs (Kyoto or Non-Kyoto) at the market price to hand back to the Clean Energy Regulator. In some instances, substitution of ACCUs may occur. Eligible units for substitution include:
Transferring an eligible offsets project
An eligible offsets project can be transferred to another person (individual or organisation) provided they are a Recognised Offsets Entity. A project declaration can be unilaterally revoked by the Clean Energy Regulator if the new project proponent is not a Recognised Offsets Entity at the end of 90 days.
The declaration for the project must be varied to reflect the name of the new project proponent. An eligible offsets project variation form must be completed and submitted to the Clean Energy Regulator for this to occur.
You can apply to transfer your project to another Recognised Offsets Entity at any time.
Closure of an eligible offsets project
The eligible offsets project will close once the first crediting period has ended unless the Clean Energy Regulator approves an application from the project proponent for a subsequent or new crediting period. Projects can be approved for a subsequent crediting period provided the project activity remains eligible and the project is covered by a relevant methodology determination.
In general, emissions avoidance projects have a 7 year crediting period. Reforestation projects have a 15 year crediting period and native forest protection projects have a 20 year crediting period.